Many of us try to avoid reading the paperwork which we receive when we purchase anything or go for insurance. However, it's not a good option to do so as we miss on the terms and conditions of the purchase. In the long run, the avoidance of reading the paperwork can lead to severe problems in our daily lives.
Here are 6 documents that you shouldn't sign without reading:
1. Credit card slips: Most of us are tempted to sign the credit card slip even without taking a glance at the total amount charged to us. However, you shouldn't do that. If you read the bill, you'll be able to find occasional error in calculation.
2. Real estate documents: These include purchase/sale agreements, mortgage and title documents as well as leases. A large number of people who lost their homes during the rescission rued the fact that they did not knew that their loan was adjustable rate. This is just because of the fact that they didn't read through the loan documents. If you're going for a lease agreement, ask the landlord to e-mail you a copy for review before signing.
3. Paperwork for health insurance: Often it has been noted that the forms that you sign at the doctor's chamber, waives privacy protections - more so if you're planning to have work, school or another health care provider reach out to the doctor. Health insurance program and HMO contracts have certain clauses which will bar you from filing a lawsuit against the doctor or the hospital. Thus, if you read through the papers and if you're not comfortable with it, don't sign the docs.
4. Contracts for cell phones and gyms: It has been found out that gyms as well as cell phone contracts have minimum terms and high cancellation fees. Thus, you should know the terms of the contract before you sign on the dotted lines.
5. Employment agreements: There are some employers who have intellectual property clause which will give them the rights to the "fruits" of your side business. Thus, if you sign on the dotted line without reading it and if you invent something or start a business which is related to your day job, then as per the employment agreement, your employer is the owner of that invention. If you want to avoid this situation, read through the employment agreement and then take the right decision.
6. Warranty agreement on high end purchases: Read the warranty agreement for any high end purchase before you pay for it. There may be certain terms and conditions in the warranty agreement which will ask you to do something or avoid something in order to take advantage of the warranty. For example, in case of cars, some warranties will become invalid if you serviced the car by someone other than the dealer. If you go through the warranty agreement, you'll be able to know these clauses and take the right decision.